Question 1

A sales manager sets the following performance objective for members of his sales team: To increase customer sales by 10 percent within the next 6 months.Which of the following is a valid criticism of this objective?
A)It does not pinpoint expected results.
B)It is not stated in simple fashion.
C)It is not achievable.
D)It does not relate to specific actions.
E)It is not related to other organizational objectives.

Accepted Answer

The answer of A sales manager sets the following performance...

Question 2

At Enviro Corp employees do not have to infer what they should do to accomplish their goals.Which of the following guidelines does this refer to?
A)Pinpoint expected results.
B)Specify when goals are expected to be achieved.
C)Set goals high enough that employees will have to strive to meet them.
D)Relate objectives to specific actions whenever necessary.
E)Set objectives only in relation to other organizational objectives.

Accepted Answer

This refers to the guideline of relating objectives to specific actions whenever necessary, as it ensures that employees have a clear understanding of what actions they need to take to achieve their goals and are not left to infer what they should do.

Question 3

Which of the following is NOT a guideline for establishing quality objectives?
A)Let people responsible for attaining objectives have a voice in setting them.
B)State objectives as specifically as possible.
C)Pinpoint expected results.
D)Set objectives that are not related to other organizational objectives.
E)Specify when goals are expected to be achieved.

Accepted Answer

Setting objectives that are not related to other organizational objectives would not contribute to overall organizational success and would therefore not be a good guideline for establishing quality objectives. The other choices are all good guidelines for establishing quality objectives.

Question 4

One of the organizational objectives of Valpo Industries,a pharmaceutical firm,is "to develop a new line of drugs for the treatment of life-threatening diseases such as cancer and AIDS,through the use of patented technology and processes." According to Drucker,this objective relates to ________.
A)market standing
B)innovation
C)productivity
D)profitability
E)public responsibility

Accepted Answer

Developing a new line of drugs for the treatment of life-threatening diseases through the use of patented technology and processes is a clear indication of innovation as an organizational objective.

Question 5

According to Drucker,which of the following goal areas relates to a tangible,impersonal characteristic of organizational operations?
A)number of employees
B)innovation
C)managerial performance and development
D)worker performance and attitude
E)public responsibility

Accepted Answer

The answer of According to Drucker,which of the following goal...

Question 6

One of the corporate objectives of Supra Inc.is "to enrich the quality of life in the community by providing education,training,and employment opportunities." According to Drucker,this organizational objective relates to ________.
A)managerial performance and development
B)innovation
C)public responsibility
D)worker performance and attitude
E)market standing

Accepted Answer

The objective of enriching the quality of life in the community by providing education, training, and employment opportunities relates to the responsibility of the company towards the wider society, which is a part of public responsibility, as per Drucker's management theory.

Question 7

One of the short-term objectives of Alport Corporation,a manufacturer of construction equipment,is "to achieve a 15 percent return on investment (ROI)by September 2011." According to Drucker,this objective relates to ________.
A)innovation
B)productivity
C)market standing
D)managerial performance
E)profitability

Accepted Answer

The objective of achieving a 15% ROI by September 2011 relates to profitability, as ROI is a measure of a company's profitability and efficiency in generating profits relative to its investment.

Question 8

Intermediate-term objectives are targets to be achieved in ________.
A)one year or less
B)one to five years
C)three to seven years
D)five to seven years
E)five to ten years

Accepted Answer

Intermediate-term objectives are targets to be achieved in one to five years.

Question 9

HomeTurf is a retailer of wooden furniture.The firm currently has three stores and has plans to set up two more within the next eight months.This is an example of a(n)________.
A)intermediate-term objective
B)short-sighted objective
C)long-term objective
D)short-term objective
E)suboptimal objective

Accepted Answer

The answer of HomeTurf is a retailer of wooden furniture.The...

Question 10

Which of the following is the rationale behind letting the people responsible for attaining certain objectives have a voice in setting them?
A)Employees are more capable than managers and are better at establishing objectives.
B)Managers are motivated when their employees are allowed to have a say in goal setting.
C)Employees can showcase their managerial potential when they are allowed to set their own goals.
D)Managers tend to set objectives that are often easily achievable and do not challenge employees.
E)The people responsible for attaining the objectives know their job better than the managers do.

Accepted Answer

The rationale behind letting the people responsible for attaining certain objectives have a voice in setting them is that they know their job better than the managers do. This ensures that the objectives are realistic and achievable and also encourages employee involvement and commitment.

Question 11

Targets to be achieved in one year or less are called ________.
A)time-bound actions
B)departmentalized goals
C)short-term objectives
D)long-term objectives
E)intermediate-term plans

Accepted Answer

Targets to be achieved in one year or less are generally considered short-term objectives.

Question 12

According to Drucker,which of the following key areas for organizational objectives is more personal and subjective in nature,and hence likely to arouse managerial opposition?
A)productivity
B)innovation
C)worker performance and attitude
D)physical and financial resources
E)market standing

Accepted Answer

Worker performance and attitude is a more personal and subjective area for organizational objectives as it involves evaluating and managing individual employees, which can lead to opposition from managers who may resist being held accountable for their staff's performance.

Question 13

Tandem Industries is a cycle manufacturer.As part of its planning activities,it sets an objective to increase its market share by 5 percent within 3 years.This is an example of a(n)________.
A)short-term objective
B)intermediate-term objective
C)long-term objective
D)suboptimal objective
E)principled objective

Accepted Answer

The objective of increasing market share by 5 percent within 3 years is not a short-term goal (usually less than 1 year) and not a long-term goal (usually more than 5 years), making it an intermediate-term objective.

Question 14

Which of the following is NOT one of the key areas in which Drucker advised managers to set management system objectives?
A)market standing
B)profitability
C)government regulation
D)innovation
E)public responsibility

Accepted Answer

Drucker's key areas for management system objectives were market standing, profitability, innovation, and public responsibility. Government regulation is not a key area he identified.

Question 15

According to Drucker,which of the following statements is an example of an organizational objective related to productivity?
A)to reduce overall inventory management costs by 15 percent
B)to increase the use of environmentally friendly workplace practices
C)to lower the rate of attrition in the organization within the next 6 months
D)to increase the unit's monthly output by 10 percent within the next 12 months
E)to reduce total overhead costs by 5 percent by the end of the year

Accepted Answer

Drucker defines productivity as the efficiency with which inputs (resources) are converted into outputs (goods or services). Therefore, an objective related to productivity would focus on increasing the amount of output that can be generated from a given set of resources. Option D is the only objective that focuses on increasing output, making it the correct answer.

Question 16

In order to increase the quality of their objectives,managers should ________.
A)set employees' goals as high as possible
B)ensure that they set objectives entirely by themselves
C)establish goals that are within easy reach
D)let the people responsible for attaining the objectives have a voice in setting them
E)avoid relating objectives to specific actions

Accepted Answer

In order to increase the quality of their objectives, managers should let the people responsible for attaining the objectives have a voice in setting them. This will create buy-in and motivation among employees to achieve the objectives. Setting goals that are too high or too easy can both lead to problems, so it's important to find a balance. Setting objectives entirely by themselves without input from those who will be working towards them can lead to disconnect and lack of motivation. Avoiding relating objectives to specific actions can result in ambiguity and lack of clarity on what needs to be done to achieve the objectives.

Question 17

When setting objectives,managers should state objectives as specifically as possible because ________.
A)it ensures that employees have explicit directions for what they should do
B)it ensures that employee productivity will vary according to the needs of the situation
C)it allows employees to make inferences about what they should do to accomplish their goals
D)it allows them to set the pace for employees' work
E)it reduces the risk of suboptimization

Accepted Answer

Stating objectives as specifically as possible ensures that employees have explicit directions for what they should do, which helps in reducing confusion and ambiguity. This also helps in increasing the likelihood of achieving the desired results, improves coordination, and reduces the risk of suboptimization.

Question 18

A management guideline that recommends managers to clearly determine,understand,and state organizational objectives before initiating any action is known as the ________.
A)management-by-objectives approach
B)hierarchy of needs
C)principle of the objective
D)hierarchy of objectives
E)concept of suboptimization

Accepted Answer

The principle of the objective is a management guideline that recommends managers to clearly determine, understand, and state organizational objectives before initiating any action.

Question 19

Plaxo Industries is a large-scale manufacturer of commercial kitchen equipment.Its products are currently sold in Europe and the Middle East.Plaxo wants to foray into the Asian market,and the company's management has set a target of entering the Chinese market by 2018.This is an example of a(n)________.
A)short-term objective
B)intermediate-term objective
C)long-term objective
D)medium-term objective
E)operational objective

Accepted Answer

The objective of entering the Chinese market by 2018 is a long-term objective as it involves expanding the company's reach into a new market, which requires strategic planning and significant investment.

Question 20

Which of the following refers to targets to be achieved within a time frame of five to seven years?
A)short-term objectives
B)intermediate-term plans
C)long-term objectives
D)operational goals
E)medium-term objectives

Accepted Answer

The answer of Which of the following refers to targets...

Quiz 7: Principles of Planning

A sales manager sets the following performance objective for members of his sales team: To increase customer sales by 10 percent within the next 6 months.Which of the following is a valid criticism of this objective?

At Enviro Corp employees do not have to infer what they should do to accomplish their goals.Which of the following guidelines does this refer to?

Which of the following is NOT a guideline for establishing quality objectives?

One of the organizational objectives of Valpo Industries,a pharmaceutical firm,is "to develop a new line of drugs for the treatment of life-threatening diseases such as cancer and AIDS,through the use of patented technology and processes." According to Drucker,this objective relates to ________.

According to Drucker,which of the following goal areas relates to a tangible,impersonal characteristic of organizational operations?

One of the corporate objectives of Supra Inc.is "to enrich the quality of life in the community by providing education,training,and employment opportunities." According to Drucker,this organizational objective relates to ________.

One of the short-term objectives of Alport Corporation,a manufacturer of construction equipment,is "to achieve a 15 percent return on investment (ROI) by September 2011." According to Drucker,this objective relates to ________.

Intermediate-term objectives are targets to be achieved in ________.

HomeTurf is a retailer of wooden furniture.The firm currently has three stores and has plans to set up two more within the next eight months.This is an example of a(n) ________.

Which of the following is the rationale behind letting the people responsible for attaining certain objectives have a voice in setting them?

Targets to be achieved in one year or less are called ________.

According to Drucker,which of the following key areas for organizational objectives is more personal and subjective in nature,and hence likely to arouse managerial opposition?

Tandem Industries is a cycle manufacturer.As part of its planning activities,it sets an objective to increase its market share by 5 percent within 3 years.This is an example of a(n) ________.

Which of the following is NOT one of the key areas in which Drucker advised managers to set management system objectives?

According to Drucker,which of the following statements is an example of an organizational objective related to productivity?

In order to increase the quality of their objectives,managers should ________.

When setting objectives,managers should state objectives as specifically as possible because ________.

A management guideline that recommends managers to clearly determine,understand,and state organizational objectives before initiating any action is known as the ________.

Which of the following refers to targets to be achieved within a time frame of five to seven years?